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Definition

A candlestick formation which occurs in an established bear trend and which is used to predict the continuation of that trend. This formation begins with a long red candle within a downtrend. Following this is a series of small ascending green candles and finally a very long red candle which reaches a new low in the trend. This formation is significant because is shows the failure of the bulls to drive prices upward and change the trend. Also called a bearish flag.
<figure class="container-fluid"><img class="img-responsive" style="display: block; margin: 0 auto; max-width: 100%;" src="/onlinecourse/img/glossary/Falling-Three-Methods-e1494504810568.jpg" alt="Falling Three Methods" />
<figcaption style="text-align: center;">Falling Three Methods</figcaption>
</figure>

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